Mar. 16 at 5:31 AM
$VOC 👀 Oil trust that pays out almost every dollar it makes directly to shareholders as a dividend.
The last distribution was based on oil at
$58 per barrel. Oil is now at
$120. The next quarterly distribution will reflect that price spike almost dollar for dollar. That payout gets announced March 18.
Current dividend yield is already 13-15% at the old oil price. Do the math on what it looks like at
$120 oil.
The catch: this trust terminates in December 2030. No reinvestment, no growth, declining wells over time. When oil drops the dividend collapses with it. If the Iran war ends and oil falls back to
$70 the next distribution after that will be a fraction of this one.
Also already up 30% this month so the market is partly pricing this in.
But for pure oil price exposure with a cash payout attached, the March 18 distribution announcement is a real near term catalyst.
DYOR. Not financial advice.
